Revival Of Pensacola Highlights Growth

January 25, 1987|By JOHN C. VAN GIESON, The Orlando Sentinel

PENSACOLA -- Some day soon, the people moving into the luxurious new condominiums along this historic city`s revitalized waterfront may have a spectacular view of the aircraft carrier Kitty Hawk steaming into port.

The revival of downtown Pensacola is one of the highlights in Northwest Florida, where the economy is generally strong and growth is steady, but there also are serious, lingering problems.

The region`s population centers, which depend largely on military or government jobs and tourism, are doing well.

But farming and timber are mainstays in rural areas of the 18-county region stretching from the Alabama border east to Madison and Taylor counties and including Tallahassee, and those industries are hurting.

Economic difficulties seem distant in Pensacola, where Port Royal, a $12 million Mediterranean-style condominium and townhouse project, and Pitts Slip, a $3 million development featuring a marina, trendy boutiques and offices, sprouted along the shores of Escambia Bay last year.

A short distance to the east, Gulf Power Corp. is completing a $25 million headquarters overlooking the bay. The new building will consolidate offices now housed in 13 locations.

If all goes well, within a few years the Kitty Hawk will add its imposing bulk to the new silhouettes appearing along the waterfront. Pensacola residents are waiting eagerly to see if the Navy will select their city as home port for the giant carrier as part of a plan to disperse ships among Gulf Coast ports.

Home to the Navy`s flight school, Pensacola depends heavily on the military for economic stability. More than 12,400 military personnel and nearly 10,000 civilians work at four military installations in the area, producing a payroll of more than $602 million in 1985. The Kitty Hawk would add 2,200 military personnel and 200 civilian jobs.

The election last year of Gov. Bob Martinez, who pledged to eliminate $800 million in wasteful state spending and was expected to bring many new managers on board, created anxiety in the state`s capital, Tallahassee. State workers, who account for about 40 percent of the labor force in the capital, are waiting to see what Florida`s first Republican administration in 16 years means for them.

Tourism remains strong along the 100-mile crescent of dazzling, white sandy beaches stretching from Panama City to Pensacola, but there are some problem areas and questions about the immediate future.

People involved in the tourism industry fear that the new federal tax law could hurt Fort Walton Beach by discouraging people who own condos from renting to tourists, Matheney said. The area is short on hotel rooms and depends heavily on condo rentals, she said.

Seeking easier access for business and vacation travelers, Pensacola and Tallahassee have embarked on major airport expansion projects. A $21 million expansion, doubling the size of the airport terminal at Pensacola, is expected to be completed by Labor Day 1988.

Construction will start soon in Tallahassee on a new, $11 million airport terminal.

There are many signs of progress, but the Northwest region has traditionally lagged the rest of Florida and is still trying to catch up.

Per-capita personal income in the region ranges from a high of $10,756 in Leon County (Tallahassee) to a low of $6,958 in Holmes County. The statewide average is $12,773.